Some institutions/departments will promote to associate without tenure. At those same places, they'll typically let you stick around for quite a while as long as you keep bringing in the money. In every field there are at least a few departments that are notoriously stingy with tenure.
No, they are an associate professor - although I may have misspoken about tenure, I am not certain about their status. I was under the assumption that associate professors weren't covered to the same extent.
